Didi Chuxing, China’s answer to Uber, said to consider Hong Kong listing in second half of 2018

Didi Chuxing, China’s largest ride-hailing service provider, is considering an initial public offering in Hong Kong that is expected to value the company at US$70 billion to US$80 billion, according to a report by Hong Kong Economic Times, citing unidentified people.

The Beijing-based company is preparing to list as early as the second half of this year and is open to options including weighted voting rights, said Wednesday’s report, which cited people familiar with the situation who don’t want to be identified because the information isn’t public.

In response to an e-mail inquiry, a Didi representative said it doesn’t comment on listing plans.

China has one of the world’s most dynamic technology start-up scenes, thanks to the rapid rise of an internet economy supported by a high mobile penetration rate and mobile-first consumer habits. A wave of Chinese technology IPOs in the next 12 to 24 months would likely set a record for Hong Kong, said John Hall, co-head of JPMorgan’s investment banking unit in Asia-Pacific and global head of technology services, in May.

Having driven Uber out of the country in 2016 in exchange for a minority stake, the Chinese ride-hailing giant has counted Apple, Softbank, Alibaba and Tencent among its biggest shareholders. Last year it handled 7.4 billion rides, compared with Uber’s 4 billion trips. Didi has also grown its global business by building alliances with Uber’s US rival Lyft, Southeast Asia’s Grab, Ola in India, Brazil’s 99, Taxify in Estonia and Careem, a ride-hailing operator in the Middle East and North Africa region.